Scams

TELEMARKETING SCAMS

While there are many legitimate businesses that use the telephone to sell their products, there are also many unscrupulous businesses that use telemarketing to swindle consumers out of millions of dollars every year. Dishonest telemarketers are often very pushy and will say anything to get your money. They frequently use the following tactics:

A high-pressure sales approach, urging you to "act now" or the offer won't be available later.

Offer you something that sounds too good to be true, such as a "no-risk investment."

Ask for your credit card or checking account numbers or other personal financial information.

Tell you that you have won a "prize" that you have to pay taxes or shipping for in advance.

Ask you to send money right away, through a wire service or overnight delivery. Fraudulent telemarketers will sometimes offer to send over a representative to pick up the money from your home.

WHAT YOU CAN DO TO AVOID BEING SCAMMED

Keep your financial information to yourself. Never give out credit card, checking or savings account information to anyone who calls you, as it is not difficult for someone with this data to draft money from your account.

Ask the sales agent to send you information about their product or services. Legitimate companies are often happy to mail you a pamphlet or brochure about what they sell.

Tell the company to put you on their "do not call" list. State law prohibits telephone sellers from calling you once you have asked them to put you on this list.

THE "DO NOT CALL" LAW

The "do not call" law gives consumers protection against being repeatedly called by telephone sellers by requiring most companies who initiate phone sales to maintain a list of consumers who do not want to receive phone solicitations. While federal regulations require telemarketers to call only between 8:00 a.m. and 9:00 p.m., telephone sellers are only prohibited from calling you at all once you are on their "do not call" list.

OTHER TELEPHONE FRAUD

"Slamming" and "cramming" are two common forms of telephone fraud. "Slamming" is changing your long-distance carrier without your consent and "cramming" is adding to your existing service without your permission. Both are illegal under Arizona's Consumer Fraud Act. Here are some tips to avoid being "slammed" or "crammed:"

Carefully read your telephone bill every month to make sure that you have the services you originally signed up for. Go over every call and double check everything. Many consumers don't catch the changes until they've overpaid for services, often for months at a time.

Use caution if you don't recognize the area code of a telephone number you are dialing. Check your phone book for the list of area codes to find out where the number is and hang up if the message on the other line sounds suspicious.

Read all the fine print on any contest form or coupon offer before you fill it out and sign. Some long-distance carriers may use these offers as a way to get you to switch service. Be careful what you sign before you mail the form to the company.

Have your local telephone company "freeze" your long-distance service, which prevents anyone but you from switching or adding onto your existing carrier.

If you think you've been a victim of "slamming" or "cramming," print out our complaint form and mail it to us with photocopies of supporting documents to:

Arizona Attorney General's Office
Consumer Information and Complaints
1275 W. Washington
Phoenix, AZ 85007